Business Life Insurance | Key Man Insurance | Business Loan Insurance
Article published on 29th October 2007
Business Life Insurance, Key Man Insurance and Shareholder Protection Life Insurance are all forms of life insurance and can be quoted through our website here: Business Life Insurance Quote.
Business Life Insurance
As the owner of a business, you have to work hard to ensure your success. Have you thought what would happen to your business if you were to die? Would the heirs need to sell assets in order to pay liabilities and taxes? Would there be an outstanding business loan? Would a new salary need to be paid for a new employee?
Business Life Insurance is therefore a key policy in ensuring that should the worst happen, your business partner(s) can keep the business running without additional financial hardship. As brokers we would recommend writing your Business Life Insurance with the company as the policyholder rather than the insured's family. This will ensure that in the event of death, the business partners / business directors can use the funds as they see fit, for example to pay off a business loan.
Key Man Insurance | Key Man Life Insurance
Key Man Insurance works exactly the same as regular individual life insurance with the slight difference that when the insured dies, the proceeds are paid out the company instead of the family. The business can then use the life insurance proceeds to source and employ a replacement for the deceased. The money can also be used as the business sees fit, for example to buy/sell shares or supplement some income for the insured's family.
The owner of the business may not be the only person who is considered for Key Man Life Insurance. You should consider covering 'Key Employees', especially if they may be difficult to replace as the extra funds would aid in advertising and sourcing costs.
Business Critical Illness Cover
You may also wish to consider taking out critical illness cover for yourself or key employees. This means that should yourself or an employee suffer a critical illness such as cancer, a heart attack or a stroke, then the business will receive additional funds to deal with the issues mentioned earlier.
In order to get an instant quote for our business life insurance, please visit our Business Life Insurance Quote page, or please feel free to contact one of our friendly advisors for financial advice on Business Life Insurance free on 0808 17 82 777.